I will hold my PTII, but some more math here:
They paid $3-$4m for this 640 acres lease (size mentioned in HAO NR, value fluctuates based on PTII price)
OK, thats USD, say $3.6m divided by 640 acres
$6000/acre
Compare that to this Bloomberg article from Feb 20, 2006 (2wks ago):
Producers and land agents, used by some companies to disguise their identities, paid C$867 per acre for leases this year
bloomberg.com
These are expensive leases.
Bottom line, I like PTII's cash/securities position and I like management. I could care less for their partners, but those are minority interests and I deem them almost immaterial.
Some of the metrics here are not as attractive, though.
SOIGF, CLL, UTS, PBG and their acreages look pretty attractive at these prices. |
